i
Kathmandu University School of Management
Internship Report
Title of the project: Title: “A research on examining the ef...
ii
SIGNATURE PAGE
I hereby certify that I have read this document thoroughly and in my opinion, it is
satisfactory in its ...
iii
COPYRIGHT
All rights reserved. No part of this report may be reproduced or transmitted in any form
or by any means kno...
iv
DECLARATION
The author is confident that the results of the collected data and information analyzed in
this report will...
v
ACKNOWLEDGEMENT
It is with immense gratitude that I would like to thank Ms. Prabina Rajbahndari for her
direction, guida...
vi
EXECUTIVE SUMMARY
”IMC is the process of managing all sources of information about a product/service to
which a custome...
vii
CONTENTS
LIST OF TABLES .................................................................................................
viii
3.1.1.1 Rationale of the project .......................................................................................
ix
PART FOUR
REFLECTION OF INTERNSHIP .................................................................................56
...
x
LIST OF TABLES
Table 1: Brand Perception of three brands of Chocolate……….………………………30
Table 2: Rating of Associations rel...
xi
LIST OF FIGURES
Figure 1: Manpower distribution……………………………………………….….…..….6
Figure 2: Conceptual Framework of the resear...
xii
LIST OF ACRONYMS
AAAA American Association of Advertising Agencies
DTA Digital Theater Advertising
ECHOAD Echo Ad Adve...
1
Part One
1. INTRODUCTION
1.1 Background
Kathmandu University School of Management offers an internship program as a proj...
2
Furthermore, Echo has Teaser Road activation for BEKO to generate the curiosity about
the brand and also propagate the m...
3
the vigorous research and change. Thus, internship is such a platform to develop and
practice such skills.
Moreover, the...
4
knowledge were also enhanced and endeavor. Thus, not only the role was restricted to
these departments but there were ot...
5
Part Two
2. 1 INTRODUCTION OF INDUSTRY & COMPANY
With over three decades of experience in advertising of International, ...
6
Echo has made the advertisements and promotions to be seen once than to be ignored
thrice. Ultimately, the utmost care h...
7
2.1.3 Major products of the company
ECHOAD offers the following services toward the implementation of the campaign:
1. S...
8
2.2 Organization’s general and competitive environment
2.2.1 External Environment
Political and legal environment
Accord...
9
Part Three
PRESENTATION OF MAJOR PROJECT/S UNDERTAKEN
3.1 Introduction
3.1.1Introduction of the project
IMC is a concept...
10
In recognizing this complexity, this project aims to study the effectiveness of the
campaign the research on the validi...
11
has been stated in greater detail in the background of the study (e.g. History,
development, current status and problem...
12
3.1.2 Objectives of the project
In line with the above problem statement, the aim of the study is to examining the effe...
13
Besides this the scope of the study is also limited on examining the factors like consumer
behavior (attitude and perce...
14
Moreover, the indirect influencers as parents were not surveyed in the study. For the age
group of 15 to 25 parents are...
15
3.2 Literature Review and Conceptual framework
3.2.1 Literature Review
Can IMC change on consumer behavior (perception,...
16
“A concept of marketing communications planning that recognizes the added value of a
comprehensive plan that evaluates ...
17
esthetic value of promotion campaign a cosmetic characteristics that should positively
inspire the attitude towards the...
18
responses. Here the multiple stimulus and existing brand knowledge are handled
simultaneously in a “moment to-moment re...
19
Maltan and Stand (1978) provides the overview of several studies supporting the fact of
positive bias in the perspectiv...
20
The ultimate proof of the relation of IMC with the brand performance is provided by
Reid (2003); he states and provides...
21
Three particularly important indicators are: 1) the stock price, 2) the price/earnings
multiple, and 3) overall market ...
22
3.2.2 Conceptual framework
Sekaran (1992) states that conceptual framework is the foundation on which the entire
paper ...
23
IMC and its impact on consumers perception, attitudes and brand equity such as brand
recall, recognition, performance &...
24
3.3 Methodology/ procedure of project/s (Research design, Instruments used and
Data analysis)
This report is based on t...
25
(Bernard, Lewis & Sheppard, 2006). On the other study, the purposive sampling
technique is specially exemplified throug...
26
As a part of descriptive analysis, the study reports the current sales and market condition
as reported by the retailer...
27
Satdobato . The interview was structured interview. The details of the questionnaire used
in the study are provided in ...
28
confirmed with the survey with retailers where retailers gave the response with respect to
the true sales of the produc...
29
Purpose of Research
Research Approach
Research Strategy
Data Collection
Sample Selection
Source: Modification of Dahlen...
30
3.4 Presentation and Analysis of the project
3.4.1 Analytical presentation of research on consumers
The analysis of the...
31
Kitkat [Rate the following brands]
Figure 5: Rating of consumers for Kitkat
Snickers [Rate the following brands]
Figure...
32
About 84% of people said that they are satisfied with Snickers. Also, the rate of
favorableness towards the Snickers wa...
33
Figure 9: Brand awareness when product category was given as a hint
40% of the respondents completed their famous tagli...
34
Figure 10: Brand Image of Snickers
With the help of projective technique, the personification Snickers would be as foll...
35
In terms of brand association rating, Snickers scored high on quality (see Table 3). The
score was high for quality in ...
36
Figure 11: Brand feelings associated with Snickers
BRAND LOYALTY (RESONANCE)
86% of the people bought Snickers as a cho...
37
particular brand as substitute
Brought another brand and didnot named
Snickers as substitute
43%
Brought another brand ...
38
The recommendation rate for Snickers was high, which is a good thing related to loyalty.
This shows that people are rec...
39
means company even at this stage of high brand awareness and popularity, is moderately
to make the customer feel that t...
40
CHOCIE OF MEDIUM AS PER CONSUMER
The results showed that consumers suggested that TVC would be the best medium for
Snic...
41
Figure 16: Availability of Kitkat
Figure 17: Availability of Snickers
Sickers and Diarymilk were available in all the s...
42
Eventhough Dairymilk has been in Nepal from ages, Dairymilk surpassed Snickers by
nominal amount. Most of the retailers...
43
Table 9: Daily sales of Dairymilk, Kitkat and Snickers
Dairymilk Kitkat Snickers
10 3 8.75
According to the retailers, ...
44
3.4 .3 Major Findings
In general the campaign seems to arise solitary nominal amount of brand awareness but
has been ab...
45
visualized snickers as modern and sweet person; which shows that Snickers is
conceived as totally an urban subject.
 W...
46
3.5 Conclusion and suggestions
3.5.1 Conclusion
In general the marketing done in any organization expects some return. ...
47
3.5.2 Suggestions
The research findings suggest that DTA and Radio activation are still not regarded by the
consumers a...
48
 Snickers should have a facebook page activated actively in Nepal, it should have
many programs which will involve peo...
49
3.5.3 Implementation plan
A. Change in DTA plan
i. Objective of the plan: The new plan plans to have DTA in QFX rather ...
50
iii. DTA in detail plan for October 2013 (On daily basis)
The total number of spots for the whole month increased after...
51
B. Add Print Media as an IMC tool for Snickers
i. Objective: As per the objective of the research, print was one of the...
52
iii. Print in detail Schedule
Print AD Schedule/Plan for Snickers
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21...
53
Samacharpatra
Daily
3rd
Page 1
NayaPatrika
3rd
Page 1
Rajdhani
4th
Page 1
Karobar
3rd
Page 1
Abhiyan
3rd
Page 1
- - - -...
54
C. Radio activation plan for Malls
i. Objective: The objective of the program is to have the radio activation on Malls ...
55
D. Active Facebook page
i. Objective: To actively involve people for Snickers. This is an important step as it was rate...
56
Part Four
REFLECTION OF INTERNSHIP
4.1 Reflection
The twelve weeks of internship at ECHOAD is one the important learnin...
57
 Next, the communication skill was enhanced with the drafting of a proper creative brief.
The client servicing require...
58
APPENDIX 1: Work process of client handling department
For Outreach Programmes we stress on involving local implementer...
59
APPENDIX 2: LIST OF CLIENTELE SERVED BY ECHOAD
Dabur Nepal Pvt. Ltd.
Brand : All SKUs of Vatika, Red Tooth Paste, Honey...
60
United Distribution Nepal Pvt. Ltd.
Brand: Pantene, Olay
Reference: Mr. Bibek Agrawal
Director
Status: Currently served...
61
APPENDIX 3: ORGANIZATION STRUCTURE OF ECHOAD
The personnel division is already shown in pie- chart in Profile section. ...
62
Hari Adhikari
Account Executive
Maya Shrestha
Account Executive
Rajat Bajracharya
Account Executive
Jiten Ranjit
Sr. Ac...
63
APPENDIX 4: MICHEAL PORTER’S FIVE FORCE ANALYSIS
Small advertising firms
FIRM
WITH
SUBSTITU
TES
SUPPLIERS
 Model agent...
64
APPENDIX 5: SWOT ANALYSIS OF ECHOAD
Strength
 Established more than three decades ago,
Echo ad has trust ad reputation...
65
APPENDIX 6: QUESTIONNAIRE FOR CONSUMERS SURVEY
The survey may contain some unusual question. Please write what comes to...
66
 Yes
 No
Have you ever taste Snickers? *
 Yes
 No
Complete the following line. Hungry.................................
67
 Yes
 No
Rate Snickers on the following *
1 being poor and 5 being excellent
1 2 3 4 5
Price
Availability
Advertiseme...
68
1 2 3 4 5
Billboards
FM and Radio
Internet
Sanjha Bus and
micro bus
advertising
What comes to your mind when you think ...
69
Answer as per the previous question
How is the brand Snickers associated with you *
1 being highly not effective to 5 b...
70
1 2 3 4 5
Dairymilk
Kitkat
Snickers
Answer the following questions *
I brought Snickers last time
I brought Snickers an...
71
1 2 3 4 5
I would
recommend
Snickers to others
I grew up with
Snickers
I consider myself
loyal to Snickers
I would pay
...
72
 Inshop branding (branding in shops)
 Radio activation (Hungry hour Program in FM)
 TVC (In televisions)
 None
73
APPENDIX 7: QUESTIONNAIRE FOR RETAILERS (INTERVIEW)
1. Which brands of chocolates are available at your outlet?
2. Whic...
74
REFERENCES
Eagle, L., & Kitchen, P. J. (2000). IMC, brand communications, and corporate cultures:
client/advertising ag...
75
Mihart, C. (2012). Impact of Integrated Marketing Communication on Consumer Behaviour:
Effects on Consumer Decision–Mak...
76
Keller, K. L. (n.d.). http://www.terry.uga.edu/~rgrover/chapter_26.pdf. Retrieved from
www.terry.uga.edu.
Nepal, A. a. ...
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  1. 1. i Kathmandu University School of Management Internship Report Title of the project: Title: “A research on examining the effects of Integrated Marketing Communication on consumer behavior, consumer based brand equity and sales” As part of the requirement for MBA Programme Internship Programme Code: PWM 703 Internship Employer Echo Advertising Agency Work Supervisor: Nirmal Shrestha Tripureshwor, Kathmandu, Nepal Tel: 00977 1 4260088 , 4260977 Fax: 00977 1 4251184 Internship Project Supervisor Ms. Prabina Rajbhandari Kathmandu University School of Management Intern Prashansa Dhakal, KU Redg No: 11117 22nd September, 2013
  2. 2. ii SIGNATURE PAGE I hereby certify that I have read this document thoroughly and in my opinion, it is satisfactory in its scope and quality and it fulfills all the requirements of the Project assigned for the MBA Programme Internship Programme Code PWM 703. Ms. Prabina Vaidya Rajbhandari Supervisor
  3. 3. iii COPYRIGHT All rights reserved. No part of this report may be reproduced or transmitted in any form or by any means known or to be invented, electronic or mechanical, including photocopying, recording, or by any information storage or retrieval system without the written permission from the owner. Any unauthorized use or copy of this report is strictly prohibited. Anyone found guilty of copying or using report without prior permission from the owner, will be prosecuted according to the this Intellectual Property, Copyright Act 2002 (Nepal) Copyright 2012 © by Prashansa Dhakal
  4. 4. iv DECLARATION The author is confident that the results of the collected data and information analyzed in this report will be taken as guidance for a more comprehensive study at the future date. The views expressed in this report are based on the information provided through different primary and secondary sources and that of the group members only. Other sources are acknowledged by references and bibliography. The views and analysis contained in this report are those of its authors and not that of Kathmandu University School of Management (KUSOM). Prashansa Dhakal
  5. 5. v ACKNOWLEDGEMENT It is with immense gratitude that I would like to thank Ms. Prabina Rajbahndari for her direction, guidance and assistance. In particular, Ms. Prabina’s recommendations and suggestions have been invaluable for the paper. I wish to express an indebtedness gratitude to internship coordinator Mr. Sabin Pant who provided all the guidance throughout the progress of the report. I would undoubtly like to express my sincere gratitude to Kathmandu University School of Management for providing a three credit hour internship programme, so that we could understand the practical world according to our specialization and imply all the read concepts practically. I hunger to express my appreciation to Account manager, Nirmal Shrestha of ECHOAD who helped me with providing the guidance for 12 weeks on internship. Lastly I would like to thank all the people and colleagues who have been the great support and helped me directly and indirectly to ample this report. This report has given the practical exposure to understand the theoretical concept of marketing. Hence, I want to thank all the people who have been support directly and indirectly to complete this report. Lastly I would like to thank God, the Almighty, for having made everything possible by giving me strength and courage to do this work. Thank you all Sincerely Prashansa Dhakal
  6. 6. vi EXECUTIVE SUMMARY ”IMC is the process of managing all sources of information about a product/service to which a customer or prospect is exposed which behaviorally moves the consumer towards a sale and maintains customer loyalty”. (Don Schultz, 1991). Linked closely to this literature, the paper examines the effect of IMC on consumer behavior, brand (awareness, performance, image and loyalty) and sales. The study scrutinizes the two sample population for the base of the research one the consumers and next the retailers. After the survey the results seems to portray that IMC techniques has been able to arise nominal amount of brand awareness but has been able to create sufficient (medium) level of brand perception, attitudes, brand image and loyalty. On the retailer’s side, the results showed that there was immense increase in sales. The contradictory was found when consumer’s behavior and consumers based brand equity was medially changed with IMC but the change in sales were reported high. The paper examines the effects of IMC but the genuine results were still not properly revealed due to the presence of push marketing done by the company. The realistic behind the contradiction of the results of changes in consumer behavior and brand equity with sales may be due to the presence of external factors as push marketing done by the company. The research findings suggest that DTA and Radio activation (which was currently used as an IMC tool by the company) are still not regarded by the consumers as a good and reachable medium for information of Snickers. The reason for such discrepancy may be because, the rate of DTA and radio activation are low and is not been able to catch the sense organ of consumer. Thus viewing all these consequences, some of suggestions include Increase the number of DTA average daily shows, have the advertising through print Medias and have a facebook page activated actively in Nepal.
  7. 7. vii CONTENTS LIST OF TABLES ..........................................................................................................x LIST OF FIGURES....................................................................................................... xi LIST OF ACRONYMS ................................................................................................. xi PART ONE 1. INTRODUCTION ...................................................................................................1 1.1 Background ...............................................................................................................1 1.2 Goals/ Objectives of Internship ..................................................................................2 1.3 Roles/Jobs performed in the internship.......................................................................3 PART TWO 2. 1 INTRODUCTION OF INDUSTRY & COMPANY..................................................5 2.1.1 Mission/Purpose/Objectives/Goals of the company.................................................5 2.1.3 Major products of the company...............................................................................7 2.1.4 Organizational structure of the company .................................................................7 2.2.1 External Environment .............................................................................................8 2.2.2 Internal Environment ..............................................................................................8 PART THREE 3.1 INTRODUCTION OF THE PROJECT UNDERTAKEN ..........................................9 3.1.1Introduction of the project........................................................................................9
  8. 8. viii 3.1.1.1 Rationale of the project ......................................................................................10 3.1.1.2 Problem Statement .............................................................................................10 3.1.2 Objectives of the project .......................................................................................12 3.1.3 Scope and limitation of the project ........................................................................12 3.2 Literature Review and Conceptual framework .........................................................15 3.2.1 Literature Review .................................................................................................15 3.2.2 Conceptual framework..........................................................................................22 3.3 Methodology/ procedure of project/s (Research design, Instruments used and Data analysis) ........................................................................................................................24 3.3.1 Sampling design....................................................................................................24 3.3.3 Data collection......................................................................................................26 3.3.5 Reliability and variability......................................................................................27 3.4 Presentation and Analysis of the project...................................................................30 3.4.1 Analytical presentation of research on consumers .................................................30 3.4.2Analytical presentation of research on Retailers .....................................................40 3.4 .3 Major Findings ....................................................................................................43 3.5 Conclusion and suggestions .....................................................................................46 3.5.1 Conclusion............................................................................................................46 3.5.2 Suggestions...........................................................................................................47 3.5.3 Implementation plan .............................................................................................49
  9. 9. ix PART FOUR REFLECTION OF INTERNSHIP .................................................................................56 4.1 Reflection ................................................................................................................56 APPENDIX 1................................................................................................................58 APPENDIX 2................................................................................................................59 APPENDIX 3................................................................................................................61 APPENDIX 4................................................................................................................63 APPENDIX 5................................................................................................................65 APPENDIX 6................................................................................................................73 REFERENCES..............................................................................................................74
  10. 10. x LIST OF TABLES Table 1: Brand Perception of three brands of Chocolate……….………………………30 Table 2: Rating of Associations related to Snickers by consumers.…………….….…...34 Table 3: Rating of functional benefits of Snickers by Consumers.……………….……..35 Table 4: Rating by Consumers for the consumer buying behavior.………......................36 Table 5: Brand Loyalty rating of consumers……………………….….....……………...37 Table 6: Medium effectives as per consumers…………..…………..……..………….…39 Table 7: Choice of Medium as per consumer……………….……….……………..……42 Table 8: Difference in incentives as answered by the retailers………..………………....42 Table 9: Daily sales of Dairymilk, Kitkat and Snickers…………..….……………...…..38
  11. 11. xi LIST OF FIGURES Figure 1: Manpower distribution……………………………………………….….…..….6 Figure 2: Conceptual Framework of the research……………..………..………………..22 Figure 3: Structure of Methodology……………………..………………………………29 Figure 4: Rating of consumers for Dairymilk…………………………………………...30 Figure 5: Rating of consumers for Kitkat………………………………………………..31 Figure 6: Rating of consumers for Snickers……………………………………………. 31 Figure 7: Attitude towards Snickers……………………………………………………..31 Figure 8: Brand awareness level in the category…………..…..………….……….….…32 Figure 9: Brand awareness when product category was given as a hint…….….….…….33 Figure 10: Brand Image of Snickers…..…………………….………………….…..……34 Figure 11: Brand feelings associated with Snickers………………..…………...……….36 Figure 12: Loyalty of Snickers…………………………………...….….………...……..38 Figure 13: People who will miss Snickers……………………….……..…………...…...38 Figure 14: Medium effectives as per consumers……….………………………………. 39 Figure 15: Availability of Dairymilk……………………….……….…………………...40 Figure 16: Availability of Kitkat……………………………..…………….…………….41 Figure 17: Availability of Snickers………………………….………..…………...…..…41 Figure 18: Highest incentive among the brands…………………….……………….......41 Figure 19: Sales of three brands of chocolates ..…………………………………….......43
  12. 12. xii LIST OF ACRONYMS AAAA American Association of Advertising Agencies DTA Digital Theater Advertising ECHOAD Echo Ad Advertising FM Frequency Modulation HMG His Majesty’s Government ITL Imperial Tobacco Limited KUSOM Kathmandu University School of Management MBA Masters in Business Administration SWOT Strengths, Weakness, opportunities and Threats TVC Television Commercial
  13. 13. 1 Part One 1. INTRODUCTION 1.1 Background Kathmandu University School of Management offers an internship program as a project for completing the MBA programme Internship Programme under the Code:PWM 70; The three credit hour course progress to career that contain a certain a significant specialized research component. The tenure of internship aims to afford the students the career aspirations for the future which will provide the limelight for future career. Hence, to accomplish the University requirement and the enthusiasm of learning by doing encouraged me to enter an organization that was involved in enormous scale operations, within this module. Beyond the classrooms, the internship program aims to offer obligatory underpinnings for the research and further professional work could be related to different course module concepts. With the mindset of gaining practical experience, I choose an organization which could provide me with handful of such work experience and help develop skills and knowledge that would expose to different roles and jobs associated with the project. In accordance with the requirement, I joined ECHOAD for my aspiration to work in one of the foremost organization in associated field. EchoAD, ruling the advertising world of Nepal for more than three decades, is one of the leading organizations in its field). With an involvement in advertising of International as well local brands, Echo provides full solutions to the advertising needs of its clients. Established in 1976 till now, Echo has been looking after the advertising needs of its clients like Dabur, Ncell, Horlicks, BEKO, Yamaha, Jagadamba and now recently Snickers. Echo has understood the fact that advertisements are not the only demand of modern world clients, thus there are other activation done by EchoAd for its client. Echo has been conducting school level activities for children targeted health drinks Horlicks, Boost as well as Junior Horlicks.
  14. 14. 2 Furthermore, Echo has Teaser Road activation for BEKO to generate the curiosity about the brand and also propagate the message that the brand is available in 107 countries with 250 million happy customers. Recently, the activation of Snickers has also been added to the list of the company which targets to increase the brand value ad provide loyal customers for Snickers. The twelve weeks internship was a blend of enhancing the experience and skills required for future career and opportunities. The module is an educational programme, which aims to provide students with overview of research design and process skills. 1.2 Goals/ Objectives of Internship To attain the objectives, it was important to have synchronization on three different types of goals personal, academic and professional. Personal Goals - With the accomplishment of tentative campaign report as a final report, a part of a completion of a course, for the subject Integrated marketing communication; gave me more confidence on having built my dreams in reality. It encouraged the feeling of doing innovative works and from fantasy it drove to reality. Also, as a personal goal, I wanted to develop and learn the professionalism and learn the work place ethics and value. Academic Goals– The major academic goal was to complete MBA as per the prerequisite of Kathmandu University. But there are supplementary goals related to the specialization (marketing), which also needs a consideration. One of the important academic goals incorporate to practice and develop the number aptitude and research by conducting the research focusing on marketing aspect of a business. Echo being one of the leading advertising organizations is not inclined towards
  15. 15. 3 the vigorous research and change. Thus, internship is such a platform to develop and practice such skills. Moreover, the knowledge of consumer behavior is required in every step of marketing. It is a mantra for marketing and can be used in numerous circumstances. Thus, one of the professional goals of being a marketing student is to develop the skill to master the art of indulgent of the consumer behavior. Professional Goals– The professional desires was to land up in an ad agency and ultimately have my own ad agency. However, right now in last phase of culmination of MBA course; i need to apply the theoretical knowledge on the practical world. As per now, i want to infer all the theories to the real world. The goal is not so tranquil. As a part of my professional goal, development and enhancement the skills such as interpersonal skill, leadership skill and enhance creativity is a must for utmost career aspirations. At the first day of the internship, I was said that communication is the crucial factor there. Thus, one of the decisive professional goals is to develop the communication skill. A solution that is diverse from any other ad agency must be provided by the ad agency. Thus, creativity is solitary of the demanding needs of any ad agency. With captivating the lead in one of the major project of Snickers radio activation, I was competent to gather leadership skills. The skill will be accommodating throughout the career to take leads in various projects. Also, the aim was to polish the conflict management skills and stress handling skills. 1.3 Roles/Jobs performed in the internship As an intern the work experience was divided into two departments Client servicing and creative department. With the partaking in other campaigns, the other relevant skills and
  16. 16. 4 knowledge were also enhanced and endeavor. Thus, not only the role was restricted to these departments but there were other roles too which was associated with the internship Client service Department The roles vacillated from understanding the inner motives of the client for collecting brief of the product or service from the client in detail. Moreover, specifying the brief to the creative department and resonant out necessary research for the development of service for the client. Hence, communicating the creative department about the approved subject matter. The process is explained in the APPENDIX 1 Creative department Copywritter was the utmost facilitating work in the creative department. With the assignment of different projects of the clients related to copywriting there was handful experience of creative skills; some of which are writing the dialogues of TVC, writing headlines in print ad etc. Some of the other works and roles which were assigned during the internship tenure are listed below: Coordinator: Snickers Brand Activation was one of the prominent experiences in EchoAd. The concept is new in Nepal; thus, the work was stimulating in itself. As set the complete authority and work of the coordination with the colleges, FM stations and the EchoAD itself, the role was obliging to manage the sophisticated system. Researcher: During the tenure of the internship, I was answerable to look after many projects simultaneously; the foremost ones were the Jagadamba survey which was done with the dealers of Nepal. Incharge: The internship also realized that I was responsible to take the incharge, as i had to manage solely after the Brand activation of Snickers and Jagadamba survey.
  17. 17. 5 Part Two 2. 1 INTRODUCTION OF INDUSTRY & COMPANY With over three decades of experience in advertising of International, Indian and Local brands, Echo Advertising Agency (Incepted in 1976), is one of the leading players in the advertising arena of Nepal. Specializing in providing total solutions to the advertising needs of our clients, it remains the leading agency in the country. 2.1.1 Mission/Purpose/Objectives/Goals of the company Mission “We know the rules. We break the rules. And where there are none, we need no invitation to invent them” Objectives “It is better to be seen once than to be ignored thrice!” Goals “Brands rule markets when ideas rule the advertising.” For Echo ad, art is just more than an art. It is a full service agency which takes care of each and every aspect of the client’s requirement. It believes in understanding three aspects; market, consumer and the brand. Thus, the mission of breaking the rules in terms of innovation strikes here when the client is served in 360 degree approach. The cumulative talent of the creative team, the exploratory power of software tools, the wealth and analysis of past experience, the expectations, needs and demands of marketing and communication executives combine together to provide the end result. Thus, by all these beliefs the objectives of better communication trough the brands and promotions
  18. 18. 6 Echo has made the advertisements and promotions to be seen once than to be ignored thrice. Ultimately, the utmost care has been taken for all the branding and advertisement activities which has helped to establish ECHOAD as a trustworthy place for all the big and small media houses of Nepal 2.1.2 Organization Strategies Communication strategy Since the needs and demands of all communication strategy in any part of the world is specific and distinct to the region, there is a need for localization of the message for it to be audible and to the specific target audience. There exists no panacea. Consumer behavior is structured, framed, biased and built by the cultural, social and economic dynamics of a country. Nepal in itself offers a unique challenge for any advertiser, considering its economy, diversity, media vehicles available, literacy rate and exposure to information. HR strategy At present having a total manpower of 52 Staffs, that enables the company to serve all clients’ needs through our various in-house departments. Figure 1: manpower distribution
  19. 19. 7 2.1.3 Major products of the company ECHOAD offers the following services toward the implementation of the campaign: 1. Strategic Planning, Conceptualization & Creative Development 2. Pre-Press Services (artwork, positives etc.) 3. Audio & Audio Visual production 4. Supervision of media-production 5. Media Planning and Execution 6. Hoarding Rentals and Supervision 7. Production and Supervision of IEC materials 8. Grass-root level interactions with Target Audience 9. Impact Testing and other field research (if so desired) The list of Clientele served are listed in APPENDIX 2 2.1.4 Organizational structure of the company Echo Advertising Agency is staffed with 42 personnel. Although, in the agency most of the jobs are a result of team work and flat hierarchy is prevalent, there is a structured flow of communication for the strict supervision and quality assurance. The structure of the company is provided in APPENDIX 3
  20. 20. 8 2.2 Organization’s general and competitive environment 2.2.1 External Environment Political and legal environment According to Ram Avash (2008), The laws that is related to mass media, consumers act and other related acts (copyright act, defamation and libel) affects the advertising. He further adds that National Communication policy and programmes of HMG was appeared in 1988. He adds the policy 1992 for Nepal Television and Radio Nepal discourages the alcohol advertisements and advertisements related to tobacco. Economic Environment Ram Avash (2008) states that the economic scenario of outdoor advertising is such that the launch of new television stations in the country have increased the television advertising to 35 million transaction in the starting year of the introduction of television channel. The sum total of annual turnover in advertising in Nepal in the form of print, radio, television and outdoor advertising is Rs. 2 Billion. Social Environment Ram Avash (2008) prescribes that there are nearly 189 ad agencies in the country. There is a fierce competition for three billion industry. Advertising Association of Nepal (AAN) is an association acting as umbrella for advertising agencies of Nepal. Technological environment Ram Avash (2008) states; there is a programme as an independent body to monitor the electronic media, the digital media and the foreign advertisement. It also aims to establish impartial, impartial, representative and free censor board. Micheal porter’s five force analysis is provided in APPENDIX 4 2.2.2 Internal Environment The SWOT analysis is provided in APPENDIX 5.
  21. 21. 9 Part Three PRESENTATION OF MAJOR PROJECT/S UNDERTAKEN 3.1 Introduction 3.1.1Introduction of the project IMC is a concept that recognizes the added value of disciplines related to communications, such as direct response, sales promotion, general advertising and public relations. It combines these disciplines and provides clarity, consistency and maximum communication impact (E. Thorson & J. Moore, as cited in Integrated communication a synergy of persuasive voices, 1996). Integrated Marketing communication is a holistic discipline which involves the organization in the task of developing congruent, sustainable and high brand experience for all stakeholders (Angus Jenkinson & Branko Sain, 2005) As prescribed above, IMC is an important aspect of every organization. Subsequently, IMC is expected to increase the attitude, perception, brand equity and ultimately the sales. When appropriate IMC plan has been executed, the outcomes can gratify all the stakeholders from consumers to investors. The paper recognizes the complementary between IMC and other elements; it is significant in every case to recognize if the campaigns successfully meet the objective of positively influencing the sales, consumer behavior and brand equity of the product. Thus, several queries arise about the true footing of the company (ECHOAD) regarding the campaign success. To answer all these queries, a survey was felt necessary. Thus, two sets of population was sampled, one being the consumers (to discern the consumer behavior and brand equity) and next the retailers (to discern the status of current sales).
  22. 22. 10 In recognizing this complexity, this project aims to study the effectiveness of the campaign the research on the validity of the marketing campaign and aims to plain the role of IMC. Through this paper, the understanding of IMC and its impact on the target groups perception and behavior is to be known. Furthermore, the paper also aims to provide the relation of change in consumer’s perception and brand equity with the sales of the product. Briefly, the results of hostile IMC effects on the market and consumers were measured with reliability. Rationale of the project In response to the current concerns about the effect of hostile marketing environments on brand equity and on the increased management expectations related to marketing performance and accountability, many organizations are now considering to improve the management and integration of the programs such as marketing communication programs using integrated marketing communication (IMC). Nevertheless, various authors are now supporting then notion that there is ambiguity surrounding the definition of IMC, with no mutually agreed upon or consistant meaning, and with the need of many areas of clarification. (Baker and Mitchell 2000; Beard 1996; Cornelissen 2001; Duncan and Mulhern 2004; Kitchen and Schultz 1999; Low 2000; Phelps 1996 as cited in The relationship between integrated market orientation, and brand orientation, 2005). Stressing the importance of IMC and collating relevant material in this area in context to marketing, the research to evaluate the IMC was felt necessary to mark the response and manage the hostile marketing environment. As the above literature stresses, to improve the marketing performance and accountability the rationale of evaluation of the current IMC done by any organization is utmost needed. Problem Statement Dr. A. Asgari (2010) states that the researcher is always in need to convince the reader about the topic chosen as it consists of important problems and solving them will contribute towards knowledge development and he also highlights the point that the researcher needs to highlight briefly the background on what is to be investigated, which
  23. 23. 11 has been stated in greater detail in the background of the study (e.g. History, development, current status and problems that exist). In the above context, advertising firms run abundance of campaigns for its clients, but the responsibility in its part does not end here. Despite satisfying the clients, there may be undesirable reaction of the market. To unmask the actual state of the market and to reflect the view regarding the success of the campaign, different state of variables affecting the sales of the product was tested. In furthering the discussion, currently ECHOAD is running a campaign for the Snickers, but the results of the program is unknown. The notion is either the program is successful or it is not. In a broad sense, success of the campaign is known through the increase in sales. Before the sales increases, there must be some effect on perception and attitude of consumers. In justifying the issues the major issues that needs to be focused is: Does the IMC technique influence the consumer behavior, consumer based brand equity and ultimately the sales of a product? The above problem statement is in context of ECHOAD, the issue is to evaluate the current campaign of ECHOAD for Snickers; to examine if the IMC used by the company is really helping the product to make positive changes in the consumer behavior, brand equity and sales. The other secondary problem statements are:  Are the IMC techniques influencing the consumer behavior (Brand perception and attitude)?  Are IMC techniques obliging in influencing the brand equity (recall, recognition, performance, image and loyalty)?  Is there any effect of change of consumer behavior and brand equity on sales?  Has the sales increase after the use of IMC?
  24. 24. 12 3.1.2 Objectives of the project In line with the above problem statement, the aim of the study is to examining the effects of IMC on sales of the product. The context of the study is on the advertising sector and the project also revolves round the campaign of Snickers done by ECHOAD. The major objectives of the project are as follows:  To discern the relationship between IMC and consumers perception and attitude .  To understand if IMC is beneficial to change the Brand awareness (recall, recognition), performance, image and loyalty?  To discern the relationship of changed consumer’s perception and attitudes with sales.  To discern the relationship between the changed Brand awareness (recall, recognition), performance, image and loyalty with sales.  To examine if IMC really affected the sales of the company, and if yes how? 3.1.3 Scope and limitation of the project 3.1.3.1 Scope of the study This review paper seeks to answer the question “Does IMC affect the consumer behavior, brand equity and sales of any product?” But as every project has some of the unexpected limitations and scope and this project is of no exception. The same is applied in this paper aswell, the project considers only target group as consumers of the product. As most of the consumers of Snickers are youths (aged 15 to 25 years); the study and research is totally focused on them.
  25. 25. 13 Besides this the scope of the study is also limited on examining the factors like consumer behavior (attitude and perception of consumers) and Consumer based brand equity (brand recall, recognition, image, feelings, performance and brand loyalty). The paper does not held other factors beside the above mentioned ones; these all factors are considered sufficient to reveal the market condition and sales. Also one of the factor i.e brand judgment of Consumer based brand equity is not considered relevant in the paper because of the unavailability of the literature to support the notion that it really affects the sales. The scope of the project includes the assumption that sales are regarded as the overall factor to determine the success of the campaign. Eventhough there may be other aspects but those aspects are not covered in this project. In this context, the paper assumes that the measures for evaluating the consumer behavior are consumer’s attitudes and perception; other aspects of consumer behavior are not covered in the report. The retailer’s interview has covered the dealers of only three areas i.e Satdobato, NewRoad and Baneshwor. Furthermore, the sample of 43 and 30 for consumers and retailers survey respectively is considered sufficient to know the final results of the survey. 3.1.3.2 Limitation of the study Nevertheless, there are some limitations of the study. The most significant limitation was lack of previous research data. The data regarding the consumer’s perception, attitudes and brand equity elements previous to the campaign was unavailable. If the data were available, the comparison pre and post campaign could have been made. This would have made the research more interesting and valid. Also, the previous data would have surpassed the level of eminence of the research. Furthermore, the time was limited; i.e the project was based on the internship experience of twelve weeks. The time for the report and the project was also restricted.
  26. 26. 14 Moreover, the indirect influencers as parents were not surveyed in the study. For the age group of 15 to 25 parents are one of the prominent influencer of buying behavior; but those people are not surveyed in the study. Moreover, during the study, we came across some of the respondent who ticked the questionnaires randomly. They were concentrated only on one extreme side of the survey questionnaire. i.e example they marked at 5 on the likers scale of the whole questionnaire and answered other questions vaguely. However such kind of respond is omitted for the analysis. The next limitation is of the retailer’s interview, due to the lack of time I could not interview retailers outside Kathmandu Valley. Such interviews outside the valley would have increased the validity of the research.
  27. 27. 15 3.2 Literature Review and Conceptual framework 3.2.1 Literature Review Can IMC change on consumer behavior (perception, attitude), brand equity (recall, recognition, performance, judgment, image and loyalty of consumers) and sales? A Review of Literature Traditionally the practitioners and academics in the field of marketing have supported the notion that the marketing communication plays a significant role in building the stakeholder relationships, and also maintaining and leveraging these relationships to build brand and customer equity (Ambler et al. as cited in Performance auditing of integrated marketing communication IMC actions and outcomes, 2005). Integrated Marketing Communication has the ultimate potential to be a foremost patron and the central player within, this new paradigm. Additionally, the calls to measure IMC’s ROI (Return on investment) were through more than a decade ago (Wang, as cited in The brand value of integrated marketing communication, 2005) IMC is not just a hypermedia coordinated campaign; But IMC is more than just a tactical steadiness. It is usually referred to as “one voice one look”. The related organizations can attain an implementation that is reliable and which appears to have integrated marketing communications. But it is necessary to have the essence of the IMC movement to have the call to make marketing communication more effective through greater tactical coordination and a strong brand strategy that is driven by consumer’s feedback data. (Duncan and Mulhern as cited in Brand strategy and integrated marketing communication, 2005) Definition of IMC According to American Association of Advertising Agencies (AAAA), defines IMC as:
  28. 28. 16 “A concept of marketing communications planning that recognizes the added value of a comprehensive plan that evaluates the strategic roles of a variety of communication disciplines--for example, general advertising, direct response, sales promotion, and public relations--and combines these disciplines to provide clarity, consistency, and maximum communication impact” A more concrete definition is given by Smith (1990) who states that Marketing communication consists of various forms of communication mixed which are relevant to marketing. In one of the definition Duncan & Moriarty (1998) states that Marketing communication is the tool to help the firm in eliciting the favorable responses for the ultimate consumers. Keller (2003) notes that the firm’s marketing communication that it follows contribute to a large extend to brand equity. Thus, effective communication enables to form the brand awareness and positive brand image. With all these forms the brand knowledge which will trigger the differentiated responses that contribute the brand equity. IMC strategy is a set of processes that includes the planning, execution, development and evaluation of measurable and coordinated brand communication programs with the consumers, prospects, employees, associates and other targetes audiences IMC and Consumer’s perception The whole relation of IMC creating a whole synergy and helping in the development of factors such as perception, attitude and brand recall is defined by encoding variability theory. Hence, with the above short definition, the content of Encoding variability theory can be summarized as that it proposes when a consumer receives the same message from a variety of media, ultimately the message will be encoded in his or her memory in a more complex function than if only one medium was used. This will end up resulting in a stronger, clear, more accessible information network in the brain. Moreover, this enhances the likelihood that the information will be recalled accurately. Hence lastly the Varying modality of the presentation is also likely to recover the perception of the
  29. 29. 17 esthetic value of promotion campaign a cosmetic characteristics that should positively inspire the attitude towards the ad, and ultimately the attitude towards the brand. (Caccioppo & Petty, as cited in Encoding variability and spacing repetitions, 1987) IMC and Consumer’s attitudes The forming or changing the attitude is the most important goal of IMC. Influenced with the product, price, distribution and marketing communication can make the goal more prominent, but also resulting from direct or vicarious experience that the person has with the attitude object. (Fazio, Sanbonmatsu, Powell and Kardes as cited in Impact of Integrated Marketing Communication on consumer Behavior: Effects on Consumer decision- making process, 2012). Furthermore, the work of attitudes on consumer behavior is highlighted in one of the work of Lee & Tavassoli. Lee & Tavassoli (2003) notes that attitudes are thought to be summaries of the judgments made by the memories. The effects of IMC on attitude are explained by Gorn ET. el (1997); he explains that the use of multiple media and proper IMC mix can intensify the attitude and progress a positive attitude towards the brand. Moreover, the precognitive and cosmetic cues have been shown to affect attitudes rather than believe. Varying the peripheral cues has superior influence on attitudes under low motivation conditions, but on the other hand different persuasive messages were more influential in a high motivation condition. (Clemons 1990; Sawer, 1981). Often combined into the concept of harmony, repetition and variety of promotional tools can combine to form a pleasing whole- in this case, a positive attitude toward the ad and positive attitude toward the brand. IMC and Brand recall With respect to the relation of IMC with the recall of the brand, researchers are beginning to scrutinize the consumer processing of IMC campaign from a more holistic perspective, they are considering the complexes of ongoing mental processes and subconscious
  30. 30. 18 responses. Here the multiple stimulus and existing brand knowledge are handled simultaneously in a “moment to-moment reality” (Grunert, 1996; Pilota et. al, 2004; Weilbacher, 2003; Zaltman, 2003). In a research article by Unnava (1996), found that the consumer- generated imagery (audio or visual) and comprehension of ad copy requires the same resources. This had resulted in less recall if the presentation modality of the ad was same as the modality of the ad- produced imagery. Thus, we can say that, the ad is recalled well if the presentation of the ad was auditory (verbal, talking about the product). Additionally the consumer visualized the ad concepts (saw themselves using the product ) or vice- verca. IMC and Brand recognition Recently, a shift was observed in the branding literature (de Chernatony 1999) from a singular focus on the importance of brand image, or consumers' perceptions of brand differentiation, to include a focus on brand identity (Aaker 1996; Kapferer 1997; Keller 2003; Upshaw 1995). Though multiple conceptualizations of brand identity exist, this paper uses Aaker's (1996) conceptualization; that is, brand identity is seen as a unique set of brand associations that a brand strategist aspires to create or maintain. IMC and Brand Image Keller (2001) notes that the several advantages associated with IMC make it the choice of every industry of the market. The customers have the feeling of ease in buying because of the IMC, thus this ends up making a good image and reputation in the market. This will result in creating an everlasting bond between the consumer and the organization. Thus, this relationship on one hand creates an environment where the customer is secured and on the other hand it proves to be fruitful in making profit as the customer will only trust that particular organization. It was revealed in the ITL’s documents that its management decided that all the advertisement of Player's brand would make use of lifestyle imageries for its marketing. (Imperial Tobacco Limited as cited in The role of IMC in brand building, 2010)
  31. 31. 19 Maltan and Stand (1978) provides the overview of several studies supporting the fact of positive bias in the perspective stages of cognition. The positive selection extends the memory creation till the retrieval. Finally, the creation of all the positive effects will lead us to believe that the positive information from a credible source will affect the information processing, which will affect the attitudes toward the product and the ads featuring the product. IMC and Brand Feelings The ITL’s trademark players marketing plan revealed that the marketing strategy that ITL was following. Since 1971 the marketing strategy was to label its product as a masculine product for the males who were young. Thus this was what they wanted to create the image and mental map in the minds of the consumers. Thus, what they did was they used the lifestyle imageries to market their products in such way that it conveyed a feeling of freedom and independence which highlighted the individuality related to specically mature males (Imperial Tobacco Limited as cited in The role of IMC in brand building, 2010) Using the SEM for analyzing the data from 324 surveys, the findings of which indicates that consumers perceive the perdonality of the brand and brand arousal feelings as two separate constructs and that brand personality has immense effect in brand arouised feelings. Through the results of the findings, this study has recommended that brand managers consider the positioning of the brand as original, imaginative, considerate and the kind which arouse the positive brand feelings. (University of Southern Queensland, Toowoomba, 2011) IMC and brand performance The implementation of IMC is considered to support brand performance (Duncan &Mulhern 2004; Kitchen 1999; Low 2000; Mc Arthur 1997).
  32. 32. 20 The ultimate proof of the relation of IMC with the brand performance is provided by Reid (2003); he states and provides the support contention that integration of marketing communication is positively related to a firms brand related performance. On the other hand in service context, Carlson, Gove and Dorsh et al (2003) indicates that successful IMC techniques can create desirable customer responses. IMC and loyalty ON part of the relation between the IMC with the loyalty of the brand, Jonne, Kitchen and Toa (2004) suggests that major development of communications of last decade is counter to a range of changes in the marketing communication environment. This will be having an impact on the ability of the companies to attract, retain and leverage customers. On part of the loyalty, Matlan & Stang (1978) reveals that on the sociological reasons so as to maintain a positive front, and the attitudes and behavior may ultimately become the habit. Thus finally the Integrated Marketing Communication is the advanced strategic business process to contribute building brand value. (Schulz, 2004) Kitchen (2004) pointed the prominent importance of IMC in current world, he said that it is not only a communication process but it is a process associated with the brands and management of brands. IMC involves managing the marketing communication in a holistic manner to achieve the strategic objectives. Effect of change in Consumers perception, attitudes and brand equity on shareholders value, sales and brand value Almost all conceptualizations of brand equity agree today that the phenomenon involves the value added to a product by consumers’ associations and perceptions of a particular brand name (Aaker, 1996; Baldinger, 1990; Baldinger & Rubinson, 1996; Bello & Holbrook, 1995; Dyson, Farr & Hollis, 1996; Keller, 1993) Based on all available current and forecasted information about a brand as well as many other considerations, the financial marketplace then formulates opinions and makes various assessments that have very direct financial implications for the brand value.
  33. 33. 21 Three particularly important indicators are: 1) the stock price, 2) the price/earnings multiple, and 3) overall market capitalization for the firm. Several studies have explored the effects of marketing activities and brand equity on the stock market (Aaker & Jacobson, 1994, 2001; Lane & Jacobson, 1995; Mizik & Jacobson, 2003; Rao et. al 2004). The brand value creation process begins with marketing activity by the firm which influences customers in a way to affect how the brand performs in the marketplace and thus how it is valued by the financial community. Any marketing program investment that potentially can be attributed to brand value development, either intentional or not, falls into this category. Specifically, some of the bigger marketing expenditures relate to product research, development, and design; trade or intermediary support; marketing communications (e.g., advertising, promotion, sponsorship, direct and interactive marketing, personal selling, publicity and public relations, etc.); (Keller, 1980)
  34. 34. 22 3.2.2 Conceptual framework Sekaran (1992) states that conceptual framework is the foundation on which the entire paper is based. It is logically developed, described and elaborated network of associations among variables that have been identified through such process as interviews, observations, and literature survey. These variables are deemed relevant to the problem situation. Figure 2: Conceptual Framework of the research This implies that the conceptual framework shows the overall base for the project. The conceptual framework is developed based on the literature review, the relationship of IMC Effect on Consumers Perception (Medium) Effect on Brand attitudes (Medium) Effect on Brand awareness (Low) Effect on Brand performance (High) Effect on Brand Loyalty (Medium) Change in consumers buying behavior (Medium) Sales (Highly positive) External force: Brand loyalty is also influenced by push marketing
  35. 35. 23 IMC and its impact on consumers perception, attitudes and brand equity such as brand recall, recognition, performance & image and loyalty of consumers is the main research objective. The literature utters that there exists the positive relation between IMC techniques and the brand based elements as well as consumer’s perception and attitudes. Additionally, the literature also supports the norm that there is an immense positive relation between increase in consumer’s perception, favorable attitudes and increase in brand equity (brand image, feelings, performance and loyalty) with the sales Thus, the whole report revolves to prove this two point, we will examine if this context is true even in Nepalese context or not. As the literature is based on foreign illustrations and experiments, now the test will be on Nepalese markets and trends.
  36. 36. 24 3.3 Methodology/ procedure of project/s (Research design, Instruments used and Data analysis) This report is based on the review of obtainable literatures on marketing and specially IMC. This section elucidates the aspect methodology applied to fulfill the objectives of the project. Preliminary with the review of various literatures on IMC techniques lead to provide an insight and stimulating research topic. To gain the results of the research on the relationship between the IMC and its impact on consumer behavior and brand equity with sales, both qualitative and quantitative researches are planned to be recognition of the brand. As per the requisite of the research, both qualitative and quantitative survey was done. Research objectives The research is done inorder to examine certain things that are held uncertain until proven. Thus, the study done aims to prove certain objectives as illustrated under: The first objective of the study is to know the efficiency of the use of IMC techniques and to see the changes in consumer behavior and brand equity of Snickers (on youths) after the campaign. Also, the research further aims to understand the relationship of change in consumer behavior and brand equity on the sales of the product. 3.3.1 Sampling design Denzin (2000) mentions that sample sizes, which may or may not be fixed prior to data collection, depend on the resources and time available as well as the study objectives. The sample size of consumer population is 43 whereas the retailers population is 30. The research uses non-probability sampling as a sampling technique. For both of the consumers and retailers survey, qualitative and quantitative techniques were used. Non Probability Sampling: Simply put, in the purposive sampling, the researcher is the one who decides what is to be needed to be known and sets out to find the people who are willing and who can provide the information by the virtue of knowledge and experience.
  37. 37. 25 (Bernard, Lewis & Sheppard, 2006). On the other study, the purposive sampling technique is specially exemplified through the key informant technique (Bernard 2002, Garcia 2006, Gustad et al. 2004, Jarvis et al. 2004, Lyon & Hardesty 2005), here one or few individuals are selected for guiding the culture. The key observant, reflective members of the community of interest who know about the culture are both willing to share the knowledge (Bernard 2002, Campbell 1955, Seidler 1974, Tremblay 1957). The most important and prominent is the paper of Campbell (1955) where he conducted a study and took purposive samples and compared the results with the survey of all crew members. The results of both the methods were highly correlated using Spearman rank order correlation. In the above context, the consumer’s sampling was done on the basis of some of the non- probability measures like purposive sampling for both of the study. In the consumer’s population study the age group of 15 to 25 was felt appropriate for the study; on the other hand retailers were chosen for the examination of effect on sales. The use of voluntary sampling was also done, as people who were very interested to portray their interest in the survey filled up the survey. 3.3.2 Research Design Maxwell (1996) states that as the research design are like a philosophy of life, no one is without one. However, some people are more aware of theirs and thus able to make more informed consistent decisions. Because a design always exists, it is important to make it explicit, to get it out in the open where its strengths, limitations, and implications can be clearly understood. Thus, as stated above this paper has the essence of both descriptive and analytical design; the study reveals the analysis of the companies and retailers current status and reports to make critical evaluation on these. The report has both the criteria’s of describe and also identify what is and also identifies and describes why it is.
  38. 38. 26 As a part of descriptive analysis, the study reports the current sales and market condition as reported by the retailers. On the other hand the report also analyses the consumers perception and reports critically the reasons for such results. 3.3.3 Data collection The study is basically carried out on the basis of and primary and secondary sources of data. Primary Sources Two types of questionnaire was set up; one for the consumer and the other for the retailers (interview) and each having two major objective to convey. In this context, research was conducted know the effect of IMC on consumer’s behavior and brand equity (recall, recognition, image, performance and loyalty) and finally on sales of the product. For the purpose of the research, a sample of 43 consumers and retailers was used; the use of probability as well as non-probability sampling was used. On the consumer survey part, the data is collected in about three days with the hard work and dedication to make people fill the survey. The people that are involved in the survey are from all over Nepal with the age group of 15 to 25 which is the target group of Snickers. Google docs made it possible to carry out the survey nationwide. The questionnaire will content the questions which will be able to show people’s attitude, perception, recall, recognition and other brand equity elements. The questions will be both in aided and non aided form, mostly for the recall part unaided questions is expected to boost the results. The full version of the questionnaire is provided in the APPENDIX 5 and 6. For higher response rate, the questionnaire is mailed personally and follow-up is made. Furthermore, in case of any confusion personal call is expected to be made to explain the questions. The questionnaire contains twelve open ended questions, five likert scale and eight multiple choice questions. On part of retailer’s survey, the survey is collected in three days, with a sample of 30 retailers in Kathmandu valley. The areas covered include Baneshwor, Newroad and
  39. 39. 27 Satdobato . The interview was structured interview. The details of the questionnaire used in the study are provided in APPENDIX 5 and 6. Secondary Sources There is a convenient use of articles and websites of the company and materials related to IMC. 3.3.4 Data analysis Qualitative data analysis is an intuitive and inductive process in which researchers attempt to gain a deeper understanding of what they have studied and to continually refine their interpretation (Taylor and Bogdan, 1992). Thus, I have followed interpretive study approach to study and analyze the responses of consumers. The interpretive analysis helped me apply back and forth interpretation. Data analysis of qualitative data was both challenging yet exciting. On quantitative analysis, the data analysis is done using Microsoft excel 2010. The descriptive statistics was used to describe and interpret the summary statistics. Microsoft excel was used in developing the charts and graphs. With the help of Data analysis, the results can be shown in pie chart, histogram and other visual and graphics. Reliability and variability Inter-rater reliability is a measure of reliability used to assess the degree to which different judges or raters agree in their assessment decisions. Inter-rater reliability is useful because human observers will not necessarily interpret answers the same way; raters may disagree as to how well certain responses or material demonstrate knowledge of the construct or skill being assessed. (Colin Phelan and Julie Wren, 2005-06). The subjects of the study were consumers; in brief those subjects rated and judge according to the human observations observed by them in response to the exposure. Hence this was
  40. 40. 28 confirmed with the survey with retailers where retailers gave the response with respect to the true sales of the product. Construct Validity is used to ensure that the measure is actually measure what it is intended to measure (i.e. the construct), and not other variables. Using a panel of “experts” familiar with the construct is a way in which this type of validity can be assessed. The experts can examine the items and decide what that specific item is intended to measure. Students can be involved in this process to obtain their feedback. (Colin Phelan and Julie Wren, 2005-06). One of the subject used in the paper are retailers who are the experts and can portray the true and valid information regarding the actual market condition.
  41. 41. 29 Purpose of Research Research Approach Research Strategy Data Collection Sample Selection Source: Modification of Dahlen et al 2003 Figure 3: Structure of Methodology Analytical Descriptive Qualitative Quantitativ e Survey Primary Secondary Questionna ire Non probability Purposive sampling
  42. 42. 30 3.4 Presentation and Analysis of the project 3.4.1 Analytical presentation of research on consumers The analysis of the report is on two verges, one on consumers who will provide the insight on consumer behavior and brand equity; next research on dealers for the knowledge of effect of IMC on sales. The detail of the research is provided under: 3.4.1.1 Analysis of Consumer Behavior BRAND PERCEPTION Table 1: Brand Perception of three brands of Chocolate DairyMilk 4.16 Kitkat 3.61 Snickers 3.87 When people were said to rate the above brands, Snickers was ranked above Kitkat (Nestle). Dairymilk was ranked the highest and following it was Snickers. These ranking was made on over perception of quality and other aspects of the brand. Dairymilk [Rate the following brands] Figure 4: Rating of consumers for Dairymilk
  43. 43. 31 Kitkat [Rate the following brands] Figure 5: Rating of consumers for Kitkat Snickers [Rate the following brands] Figure 6: Rating of consumers for Dairymilk BRAND ATTITUDE How favorable is your attitude towards Snickers? Figure 7: Attitude towards Snickers
  44. 44. 32 About 84% of people said that they are satisfied with Snickers. Also, the rate of favorableness towards the Snickers was high, about 3.9. 3.4.1.2 Analysis of Consumer Based Brand Equity BRAND AWARENESS (BRAND RECALL AND RECOGNITION) The brand awareness level of Snickers was found out to be very low. When given only usage situation as a cue, only 3% of the respondents mentioned Chocolate as their preferred brand. Figure 8: Brand awareness level in the catagory This was a bit higher i.e., 11% when they were given product category i.e. chocolate as a cue. Are you satisfied with Snickers
  45. 45. 33 Figure 9: Brand awareness when product category was given as a hint 40% of the respondents completed their famous tagline. (Respondents were asked to complete the phrase Hungry ………………..a Snickers) This indicates that the company is somewhat effective enough to communicate its message to the consumers and its advertisements are also well received by the consumers in terms of awareness level. But however every respondent had heard and tasted of Snickers. BRAND IMAGE Snickers as a brand has different meaning to different people. When asked about what came to their mind when they thought of Snickers, the response was widely distributed where majority i.e only 27% mentioned that Snickers meant “Yummy”. Most of the respondent said that 31% of the people associated Snickers means chocolate. Other responses were widely skewed with answers such as sweet, nuts, hunger etc.
  46. 46. 34 Figure 10: Brand Image of Snickers With the help of projective technique, the personification Snickers would be as follows. Brand Association Ratings Table 2: Rating of Associations related to Snickers by consumers Associations Scores Price 2.74 Availability 3.64 Advertisement 2.85 Quality 4.81 Taste 4.29 Packaging 3.96 MR SNICKERS IS A PERSON IN HIS LATE TEENS WHO IS A COLLEGE GOING. HE IS LOVABLE AND SWEET AND APPRICIABLE TO ALL. HE LIKES WEARING JEANS AND T- SHIRT. HE LIVES IN URBAN AREA AND VISITS FOREIGN COUNTRY FREQUESNTLY
  47. 47. 35 In terms of brand association rating, Snickers scored high on quality (see Table 3). The score was high for quality in comparison to other associations. This supports the notion that quality of Sncikers is one of the important and unique factors that have contributed for its prolonged dominance in the international market. Other factors that were associated with were taste which is 4.29. BRAND PERFORMANCE When consumers were asked to rate some of the functional benefits of Snickers on rating scale of 5, the highest score was obtained on peanuts followed by good taste, convenience, hunger and lastly good value for money (see Table 4). Table 3: Rating of functional benefits of Snickers by Consumers Functional Benefits Score Peanuts 3.77 Good taste 3.54 Convenience 3.38 Hunger 3.29 Good value for money 3.16 BRAND FEELINGS Most people associated Snickers with Happiness, the other feelings that the responded answered was fairly divided into friendship, warmth, war, love etc.
  48. 48. 36 Figure 11: Brand feelings associated with Snickers BRAND LOYALTY (RESONANCE) 86% of the people bought Snickers as a chocolate last time. Longman and Moran view repeat rate- how many people bought Snickers last time would buy it again this time as a key indicator of brand equity.1 This rate for Snickers as per this survey is 66% which is comparatively high. These respondents bought Snickers last time and will buy it next time. These portions of respondents were the most loyal consumers of Snickers who wouldn't switch to any other brands. Some other key findings from the survey are presented in the table below. Table 4: Rating by Consumers for the consumer buying behavior People who brought Snickers last time 63% Brought Snickers and would have gone to another store to buy it 46% Brought Snickers but would have accepted any other brand 63% Bought Snickers last time but specified 50%
  49. 49. 37 particular brand as substitute Brought another brand and didnot named Snickers as substitute 43% Brought another brand last time and would have gone to another store to buy that brand 40% 46% of the respondents were found to be highly loyal to the brand as they would have gone to another store to buy Snickers if it was not available in the first store. Similarly, 50%% of the people would have bought some other brand as a substitute which is moderate (see Table 5). So, from these figures we can conclude that substitutability rate to other brands is low for Snickers which is also one of the indicator of its high brand equity. Table 5: Brand Loyalty rating of consumers I would recommend Snickers to others 3.77 HIGH I grew up with Snickers 2.22 I consider myself loyal to Snickers 2.5 I would pay premium price for Snickers 2.29 I can relate myself with people who prefer Snicker 2.8 I really like to talk about 2.48
  50. 50. 38 The recommendation rate for Snickers was high, which is a good thing related to loyalty. This shows that people are recommending the chocolate and talking about Snickers slowly. Furthermore, the other features like connecting oneself with Snickers was moderate, and not very low. People moderately like to talk about Snickers. Figure 12: Loyalty of Snickers Figure 13: People who will miss Snickers 30% of the respondents said that they are loyal to Snickers. However, 50% of the respondents said that they are going to miss Snickers if it goes away. The above results shows that respondents have rated Snickers moderate to high on behavioral loyalty but low attitudinal attachment, sense of community and active engagement. This shows that even though the company claims to be the most popular chocolate brand, it is not effective enough to create a resonating effect in the market. This
  51. 51. 39 means company even at this stage of high brand awareness and popularity, is moderately to make the customer feel that they are “in sync” with the brand. MEDIUM EFFECTIVE TO REACH THE CONSUMERS The results showed that most effective medium was TVC, about 43%. Inshop branding also seems to reach the consumers as 30% of the people conveyed that they have seen snickers promotion as an inshop branding (see Table 7). Table 6: Medium effectives as per consumers Direct Theater Advertising (Advertising seen In the beginning of the Movies) 0% Inshop branding (branding in shops) 30% Radio activation (Hungry hour Program in FM) 0% TVC (In televisions) 43% None 26% Figure 14: Medium effectives as per consumers
  52. 52. 40 CHOCIE OF MEDIUM AS PER CONSUMER The results showed that consumers suggested that TVC would be the best medium for Snickers to advertise. Internet, DTA and print also had substantial vote of the consumer for advertisement and promotion of Snickers(see Table 8). Table 7: Choice of Medium as per consumer Print 3.16 TVC 4 DTA 3.22 Billboards 2.96 FM 2.41 Internet 3.61 Sanjha Bus and Micro 2.51 3.4.2Analytical presentation of research on Retailers The analysis on retailers was one set of the study whose population study were the retailers of three areas namely Newroad, Baneshwor and Satdobato. The indetail of the answers as per the unstructured interview is listed under: Availability Figure 15: Availability of Dairymilk
  53. 53. 41 Figure 16: Availability of Kitkat Figure 17: Availability of Snickers Sickers and Diarymilk were available in all the stores, but kitkat availability was bit low in the retailers. Incentive Figure 18: Highest incentive among the brands
  54. 54. 42 Eventhough Dairymilk has been in Nepal from ages, Dairymilk surpassed Snickers by nominal amount. Most of the retailers answered both of the brands Dairymilk and Snickers as the brand who provide most of the incentives The comparison between the incentives provided by two of the brands which were rated high on the basis of the brand who provides the most incentives is provided under: Table 8: Difference in incentives as answered by the retailers Dairymilk Snickers 1% trade discount Profit Margin is Rs. 5 per pack of Snickers 1% to 3% profit margin Sales promotion is done by Snickers, 1 piece of Snickers free in every small box of Snickers and two pieces of Snickers free in every one big box of Snickers. Current promotion evaluation The results of the survey revealed that 100% of the retailers had seen the promotional campaign run by Snickers. About all of the had seen new TVC of Snickers run in Nepali Television, about 42% had seen the inshop branding efforts, 7% have seen heard the radio activation and no one have seen the DTA done by Snickers. Current market condition of Snickers, Dairymilk and Kitkat On average sales of three of the tough competitors showed the result that Sncikers was only by some amount less than Dairymilk in Nepalese market.
  55. 55. 43 Table 9: Daily sales of Dairymilk, Kitkat and Snickers Dairymilk Kitkat Snickers 10 3 8.75 According to the retailers, after the campaign run by Snickers, the sales had gone up in a big scale. They said that people buying behavior have changed in n recent days and people have shifted from other chocolates to Snickers. Area wise sales is presented below in the bar diagram Figure 19: Sales of three brands of chocolates (Dairymilk, Kitkat and Snickers) as per the locality The figure reveals that among the three places the place where chocolate is mostly traded is Newroad. By the figure we can analyze the fact that Snickers sales is pretty good, eventhough it is not the highest seller among the three brands but it already surpassed the sales of Kitkat and is a tough competitor for Dairymil
  56. 56. 44 3.4 .3 Major Findings In general the campaign seems to arise solitary nominal amount of brand awareness but has been able to create sufficient level of brand perception, attitudes, brand image and loyalty. Implied, the campaign is successful in upholding medium level of transformation in consumer behavior, but on the brand equity side every other elements seems to maintain itself in medium level besides brand awareness (which is low). On the dealer’s side, the results displayed that Snickers was ensuing a satisfactory level of push marketing. Thus, eventhough the result portrayed low recall and recognition; but due to the push marketing retailers were able to make the consumer habituated with the product and build the loyalty. The details of the survey are listed below:  Consumer behavior study showed that, perception of people in terms of overall brand perception was highest was for Dairymilk i.e people regarded dairymilk as ultimate brand to look upon. On the same study it was realized that 76% were satisfied with Snickers and had favorable attitude towards the brand. Thus, there was medium level change in consumer behavior towards Snickers.  On the study of brand equity. It was observed that only 11% of the consumer had the recall of the brand when chocolate was given as a clue. But 40% of the consumers had recall about the brand tagline Hungry grab a Snickers. Moreover, the brand image that Snicker wants to portray is associated with hunger, but only about 19% were able to connect Snickers with hunger. Most of the people associated Snickers as a mere chocolate and yumminess. Among the brand rating for associations most of the people rated high for the quality, taste, packaging and availability.  The personification of Snickers was “MR/ MS SNICKERS IS A PERSON IN HIS LATE TEENS WHO IS A COLLEGE GOING BOY/ GIRL. HE/SHE IS LOVABLE AND SWEET AND APPRICIABLE TO ALL. HE ADORES WEARING JEANS AND T-SHIRT. HE LIVES IN URBAN AREA AND VISITS FOREIGN COUNTRY FREQUENTLY” which showed that people
  57. 57. 45 visualized snickers as modern and sweet person; which shows that Snickers is conceived as totally an urban subject.  When consumers were asked to rate some of the functional benefits of Snickers on rating scale of 5, the highest score was obtained on peanuts followed by good taste. Thus, one of the best things about Snickers that people appreciate is peanuts.  People were very loyal to Snickers, 46% of the respondents were found to be highly loyal to the brand as they would have gone to another store to buy Snickers if it was not available in the first store. Similarly, 50% of the people would have bought some other brand as a substitute which is moderate.  On the retailer’s study, Snickers seemed to be 100% available in the outlets; the incentive of Snickers was the most attractive with many schemes for the retailers. Among the IMC techniques that retailers were influenced with, TVC was rated high on visibility and following it was inshop branding. The average sale seems to be increasing for Snickers after the campaign which shows the success of the campaign.  Among the current IMC being used, TVC was rated the highest among the all mediums which was noticed by the consumers among the current IMC tools of Snickers. The next highest ranked was inshop branding. DTA and Radio activation rate was nominal. But as per the consumers survey, consumers thought the appropriate medium for Snickers to promote its brand was TVC, internet and DTA respectively.  Snickers have developed a good rate of daily sales i.e 8.75 per day on average per retailer in comparison to 10 (Dairymilk average daily sales).  Area wise, the highest selling area of chocolates was at Newroad.
  58. 58. 46 3.5 Conclusion and suggestions 3.5.1 Conclusion In general the marketing done in any organization expects some return. The return may vary from industry, time and situation. In the case of Snickers as well, as per the interview with the Countryman of Snickers for Nepal Mr. Samey Khurana, the main determent of the success of the campaign is sales. Thus, in this report as well I have used sales as a factor to evaluate the overall success of the campaign. But before examining sales the evaluation of brand in the minds of consumers was felt necessary. The norm was also supported by many literatures. As the final impact of those brand impacts were to be reflected on sales as per the literatures. Thus there was two survey done simultaneously i.e one for the consumers and next for the retailers. The survey portrayed some of the interesting facts. The results showed that eventhough there was less awareness of the brand but people had good ratings on performance, image and loyalty with the brand. At first this seemed confusing but with the report of dealers on hand, it was crystal clear that this was due to push marketing done by Snickers. The dealers were provided with sufficient commissions and offers. Thus, retailers wanted to push the product to the final consumers. Thus, eventhough people were less in recall but due to push marketing people were habituated with the product. This will slowly make people buy without push marketing and finally recall is also expected to increase to huge amount. Thus, with all these it was clear that the IMC technique were able to make the product sales go up. But, still on the next part still some of the mediums which consumers felt ineffective were used in the campaign. Furthermore, some of the mediums which were highly regarded by the consumers were not used by Snickers. Thus, there are some of the suggestions which can help in betterment of the campaign and can increase the sales further.
  59. 59. 47 3.5.2 Suggestions The research findings suggest that DTA and Radio activation are still not regarded by the consumers as a medium for information of Snickers. It may be because, the rate of DTA and radio activation are low. DTA is currently played only on three Theater i.e Civil Mall, City Center and KL Tower, with an average shows of only 3 -5 shows on each Theaters. The Radio program is only played four times a week i.e two times on Kantipur FM and two on Image FM. Thus, the suggestions regarding the DTA and Radio activation contains increasing the frequency of both the mediums. The findings on the effective medium that people think for Snickers range from internet to print medium, which is not currently followed by the company. Thus, we also suggests to add Print and internet as an active medium for further campaign Hence, suggestions will be based on these two findings which will be based on improvising the campaign more taking in account the consumers and dealers feedback.  Increase the number of DTA average daily shows. QFX is one of the prominent theaters in Nepal and the company is not advertising through it; thus I suggest increasing the DTA average daily rate as well as including QFX as one of the Theater for advertising.  Have the advertising through print medias. The Newspapers like Himalayan post, Kantipur daily, Nagarik, Annapurna Post and other famous daily newspapers. Also, the advertisements can be given in some of the weekly magazines as ECS Friday.  Instead of having the radio activation program only on colleges, the program scope can be increased by having the program on Malls and Theaters and on road. This will increase the audience who will be involved in the program and bring variety in it.
  60. 60. 48  Snickers should have a facebook page activated actively in Nepal, it should have many programs which will involve people. The programs can be of following types:  A competition of awarding the person who will inbox the best tagline for Sncikers Nepal  A competition to write a memorable experience associated with Sncikers
  61. 61. 49 3.5.3 Implementation plan A. Change in DTA plan i. Objective of the plan: The new plan plans to have DTA in QFX rather than FCUBE. The average daily shows where the DTA is played has also been increased. ii. DTA plan: As per the plan the average daily shows has been increased from 3 to 5. Product Dur. (Sec) Area Hall Name No. of Halls Avg Shows/day Location Position Rates for 30 Sec/ Month Negotiated Rate Total Amount Snickers 30 Civil Mall - Sundhara Central Cinema 3 5 Sundhara Inbetween - Position 63,970 60,772 60,772 30 City Centre - Kamaladi Big Cinema 3 5 Kamal Pokhari Inbetween - Position 58,650 55,718 55,718 30 QFX 5 5 Kamal Pokhari Inbetween - Position 65,000 60,125 60,125 April Total 176,614.00 After Ageny Dis. 167,783.30 After Cash Dis. 151,004.97
  62. 62. 50 iii. DTA in detail plan for October 2013 (On daily basis) The total number of spots for the whole month increased after increasing the number of average daily shows from three to five. There will be total of 1650 spots during the whole month of October. The further details of the spots daywise are illustrated under. October 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 Hall Name Total Spots M T W TH F S SU M T W TH F S SU M T W TH F S SU M T W TH F S SU M T Central Cinema 450 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 Big Cinema 450 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 QFX 750 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25
  63. 63. 51 B. Add Print Media as an IMC tool for Snickers i. Objective: As per the objective of the research, print was one of the medium which is not currently used by Snickers. But the consumers rated high on the appropriateness of the medium as a tool of IMC to promote the Snickers. ii. Print media plan Publication Product - Caption Position Col Cm ccm Total ccm Market Rate Negotiated Rate Amount Kantipur Front 8 10 80 80 2500 2137.50 171,000 Kantipur 3rd Page 8 25 200 200 1200 1026.00 205,200 Kantipur 3rd Page 3 20 60 60 1200 1026.00 61,560 The Himalayan Times Front 8 10 80 80 800 581.40 46,512 The Himalayan Times 3rd Page 8 25 200 200 650 472.39 94,478 The Himalayan Times 3rd Page 3 20 60 60 650 472.39 28,343 Annapurna Post 3rd Page 3 20 60 60 650 472.39 28,343 Nagarik Daily 3rd Page 3 20 60 60 800 581.40 34,884 Samacharpatra Daily 3rd Page 3 20 60 60 675 367.92 22,075 NayaPatrika 3rd Page 3 20 60 60 650 316.78 19,007 Rajdhani 4th Page 3 20 60 60 600 292.41 17,545 Karobar 3rd Page 3 20 60 60 600 307.80 18,468 Abhiyan 3rd Page 3 20 60 60 500 256.50 15,390 Newspaper Total 762,804 Ecs Friday IP 3 12 36 72 500 342.00 24,624 Weekly & Monthly Magazine Total 24,624
  64. 64. 52 iii. Print in detail Schedule Print AD Schedule/Plan for Snickers 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 October 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 Publication Position M T W TH F S SU M T W TH F S SU M T W TH F S SU M T W TH F S SU M T Kantipur Front 1 Kantipur 3rd Page 1 Kantipur 3rd Page 1 The Himalayan Times Front 1 The Himalayan Times 3rd Page 1 The Himalayan Times 3rd Page 1 Annapurna Post 3rd Page 1 Nagarik Daily 3rd Page 1
  65. 65. 53 Samacharpatra Daily 3rd Page 1 NayaPatrika 3rd Page 1 Rajdhani 4th Page 1 Karobar 3rd Page 1 Abhiyan 3rd Page 1 - - - - - - 4 - 1 1 - - - 1 1 1 1 1 1 - - 1 - - - - - - - - Ecs Friday IP 1 1 - - - - - - - - - - 1 - - - - - - 1 - - - - - - - - - - - - - - - - - - 4 - 1 1 1 - - 1 1 1 1 2 1 - - 1 - - - - - - - -
  66. 66. 54 C. Radio activation plan for Malls i. Objective: The objective of the program is to have the radio activation on Malls besides the colleges. ii. Radio activation Plan with activation on Malls included Tentative Timeline for Radio Activation October 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 Tasks Thu Fri Sat SunMonTueWedThu Fri SatSunMonTueWedThu Fri SatSunMonTueWedThu Fri Sat SunMonTueWedThu Fri Sat Planning and Scheduling Interaction with FM regarding the plan Visiting colleges and scheduling appointments Conducting the Activation for Colleges Conducting the Activation for Malls On Air Dayfor colleges On air dayfor Malls
  67. 67. 55 D. Active Facebook page i. Objective: To actively involve people for Snickers. This is an important step as it was rated high on preferred medium by the consumers.  Snickers Netpal can start a contest where by the people are to inbox the tagline for Snickers.  Also, a contest for people to ell the story associated with Snickers can be incorporated. Facebook activation plan October November December January February Weeks 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 Start a facebook page Tagline contest Story Contest
  68. 68. 56 Part Four REFLECTION OF INTERNSHIP 4.1 Reflection The twelve weeks of internship at ECHOAD is one the important learning tenure for me. This has proved to be one of the important learning experiences for learning Marketing experience. Although I was not much sure about my professional, academic and personal goals with the move in the internship tenure, I began to see my vivid goals clearly. With time my personal goal was being achieved which was to gain sufficient knowledge to make a career in advertising field. The first achievement was to fulfill my interest, I always wanted to land in an ad agency and the internship gave me the opportunity to fulfill the objective. The internship provided me the clear picture of an ad agency. As a part of my MBA a different course on advertising and promotion was offered for marketing specialization. Working in an ad agency was the practical orientation of the course. Looking back to the internship, I undertook many projects which helped me to increase my knowledge and skill on both client handling and creative department. As a part of Client handling department, I looked after clients like Webstar, Yamaha, Snickers and Jagadamba. On the creative part I was given an opportunity to drop my ideas for Yamaha model SZS TVC. Also, the opportunity of dropping some of the Guerrilla marketing was given to me. Some of the professional goals like interpersonal skill, creativity and leadership skill enhancement were also achieved through the internship. This objective was also achieved through different projects at ECHOAD.  Through a proper communication skill I was able to receive out the lament needs of the client. The ability of having a notion on unstated motivation was developed through working in the client servicing department.
  69. 69. 57  Next, the communication skill was enhanced with the drafting of a proper creative brief. The client servicing requires to convey the exact quotation of the clients to the creative department. Thus with the expiration of the tenure such ability was born within.  Furthermore, in creative department one needs to think out of the box. A solution that is different from any other ad agency must be provided by the ad agency. Thus, creativity is one of the demanding needs of any ad agency. As an intern, I was given an opportunity to enhance my thinking styles and power.  With taking the lead in one of the major project of radio activation, I was able to gather leadership skills. The skill will be helpful throughout my career to take leads in various projects. The academic objective is to apply my theoretical knowledge on the practical world. I am working for the ad agency; I want to imply all the theories to the real world. With the passage of time I wanted to gain the research skill. Thus, this project has helped me to have a proper research insight from problem identification to analysis. I was able to take the issue of IMC, one of the prominent issue in advertising field; to know the impact of IMC on consumer. Thus with two types of survey on with the consumers and next with the retailers, the result of effect of IMC on consumers and ultimately on sales was known. The problem and the issue were taken from the observation, learning and experience of internship, and a solution to it was to be as an implementation plan. Thus with the research, the problem solving skill was being developed. Thus, all in all for making the career in advertising I gained much of experience in advertising field with in charge of many projects on hand of ECHOAD. While doing the project I learned the general skill as stress handling, leadership, problem solving and communication skills, which will be useful if I land up in any field. Also some of the specific skills that are required in the promotion field are also acquainted with. Those are the skills related to drafting a creative brief, supervising the creative department as per the clients recommendation, copywriting etc. These are the skills required in an ad agency, to satisfy the marketing demands of the clients.
  70. 70. 58 APPENDIX 1: Work process of client handling department For Outreach Programmes we stress on involving local implementers (local performing groups, local coordinators, local folk artists etc.) of our creative plans so that the localization factors in terms of local habits, local language and local customs can be taken care of. Although the basic plan is sketched out along with the client, we insist on involving local implementers so that we can seamlessly bridge a connection with the local audience, gain acceptability so as to succeed in the communication objective. Go ahead for final production Go ahead for final approvals Process between (b) and (c) is iterative and requires clients approval for the desired output Approval (d) Media Plan Idea sharing on scratch and media plan (c) Scratch Development Strategy C L I E N T Brief (a) ResearchCreative IDEATION C L I E N T S E R V I C I N G Production Media Department (b) Client Client Servicing Approval Creative Production Media Department Final output for media release Approvals from media houses Part - 2 Part - 1
  71. 71. 59 APPENDIX 2: LIST OF CLIENTELE SERVED BY ECHOAD Dabur Nepal Pvt. Ltd. Brand : All SKUs of Vatika, Red Tooth Paste, Honey, Hajmola etc Reference: Mr. H.S. Bedi CEO, Dabur Nepal Pvt. Ltd. Status: Currently served Glaxo SmithKline Consumer Healthcare Brand: Horlicks, Viva, Boost, Junior Horlicks, Eno, Iodex Reference: Mr. M.B. Swaminathan Country Manager Status: Currently served Berger Jenson & Nicholson Nepal P. Ltd. Brand: Berger Paints Range Reference: Mr. Saibal Ghosh Country Manager Status: Currently served Ncell ( Spice Nepal Pvt. Ltd.) Brand: Ncell Reference: Ms. Anusha Pradhananga Unit Head, Marketing Communications Status: Currently served
  72. 72. 60 United Distribution Nepal Pvt. Ltd. Brand: Pantene, Olay Reference: Mr. Bibek Agrawal Director Status: Currently served Nepal CRS Company Brand :Econ,Navajeevan,Cure,IUCD Reference: Mr. Uttam Raj Regmi Director, Marketing Status: Currently served Asia Pacific Communication Associates Brand: The Himalayan Times Reference: Mr. Grihendra Munakarmi Marketing Manager Status: Currently served KL Cinema City Brand: FCUBE Cinemas Reference: Mr. Siddhi Raj Regmi GMC Team Member Status: Currently served
  73. 73. 61 APPENDIX 3: ORGANIZATION STRUCTURE OF ECHOAD The personnel division is already shown in pie- chart in Profile section. The structure of the company is as follows: Nisha Shrestha Account Manager J.K. Sthapit Managing Director Client Servicing Department Creative Department Finance Department Media Department Arun Sthapit Sr. Account Supervisor Maheswor Shrestha Account Manager Deep Kumar Majhi Sr. Graphics Designer Arose Sthapit Sr. Account Manager Pratima Shrestha Account Executive Amit Giri Account executive Kishor Shrestha Account Executive Rohit Pradhan Account Executive Subin Manandhar (Lava) Creative Head Dipendra Prajapati Art Supervisor Asha Maharjan Sr. Graphic Designer Praful Hada A/V Designer Niroj Shahi Sr. Graphics Designer Raju Shrestha Media Supervisor Laxmi Shrestha Media Execution Head Sunita Maharjan Media Executive Chandra Shova Dhaubhadel Media Executive Maiya Tuladhar Media Executive Rabindra Rajbansi Media Executive S.K. Sharma Finance Controller Binod Manandhar Sr. Finance Executive Alka Shrestha Finance Executive Anil Rajbhandari Sr. Finance Executive Arpan Shrestha Assistance to Creative Head
  74. 74. 62 Hari Adhikari Account Executive Maya Shrestha Account Executive Rajat Bajracharya Account Executive Jiten Ranjit Sr. Account Manager Nirmal Shrestha Account Manager Binod Shrestha Account Executive Shuman Rai Account Executive Chandra Shekhar Paneru Graphic Designer Sabina Maharjan Graphics Puru Risal Sr.Copy Writer Krita Raut Copy writer Clerical and Administrative and back office support – 12 personnel: Prity Shakya (Front Desk) Uddav Shrestha(IT Assistance) Kalika Man Joshi (Legal) Kamal Danuwar Arjun Rai Gun Bharati Shyam Dhital Gyanu Magar Dipesh Bhandari Saroj K. C. Bikram Ghale Raj Rai Ujeena Rana Copy writerVisualizes Suresh Maharjan Graphis Nirmala Maharjan Graphics
  75. 75. 63 APPENDIX 4: MICHEAL PORTER’S FIVE FORCE ANALYSIS Small advertising firms FIRM WITH SUBSTITU TES SUPPLIERS  Model agents  Production Houses  Makeup People  Photographers BUYERSRivalry among existing firm  More than 189 firms registered  Individual small advertising firms POTENTIAL ENTRANTS High: As there is no any strict regulation to have strictly entrant limitation to the sector.  High: Clients of ECHOAD like Yamaha, Ncell, Webster, Dabur Nepal, United Distributions, FCUBEetc.  Client can do the adverting itself in some of the cases  Foreign advertising companies  Advertising through retailers only
  76. 76. 64 APPENDIX 5: SWOT ANALYSIS OF ECHOAD Strength  Established more than three decades ago, Echo ad has trust ad reputation in Nepalese Market  Clients like Yamaha and NCell Weakness  Less Creative workforce  Lack of strong clients like NTC, Waiwai, Bottlers Nepal Opportunities  New clients arrival or shift from other agencies Threats  Competition with foreign Ad agencies  Competition with MNC’s like Thumson Nepal
  77. 77. 65 APPENDIX 6: QUESTIONNAIRE FOR CONSUMERS SURVEY The survey may contain some unusual question. Please write what comes to your mind first Age * 15-18 18-21 21-25 Occupation * Student Job Business When you are hungry which brand comes to your mind? * When you think of a chocolate which brand comes to your mind first? * Which is your favorite chocolate brand ? * Have you heard of Snickers? *
  78. 78. 66  Yes  No Have you ever taste Snickers? *  Yes  No Complete the following line. Hungry................................. a Snickers * If you don’t remember please write don’t know How favorable is your attitude towards Snickers? 1 2 3 4 5 Very much unfavorable Select a value from a range of 1,Very much unfavorable, to 5,Very Favorable,. Very Favorable 1 2 3 4 5 Are you satisfied with Snickers? *
  79. 79. 67  Yes  No Rate Snickers on the following * 1 being poor and 5 being excellent 1 2 3 4 5 Price Availability Advertisements Quality Taste Packaging If Snickers would have to brand itself, which medium would be the most effective one? * 1 being highly not effective to 5 being highly effective 1 2 3 4 5 Print Media TVC Direct Theater Advertising
  80. 80. 68 1 2 3 4 5 Billboards FM and Radio Internet Sanjha Bus and micro bus advertising What comes to your mind when you think of Snickers? * What type of personality would Snickers have if he would be a person? * What would be his age? * Answer as per the previous question What would he wear? * Answer as per the previous question Where would he live? *
  81. 81. 69 Answer as per the previous question How is the brand Snickers associated with you * 1 being highly not effective to 5 being highly effective 1 2 3 4 5 Good Taste Peanuts Avoids hunger Good value for money Convenience What feelings come to your mind when you think of Snickers * Like happy, warmth, cold, war, love, friendship Rate the following brands * 1 being highly not satisfactory to 5 being highly satisfactory
  82. 82. 70 1 2 3 4 5 Dairymilk Kitkat Snickers Answer the following questions * I brought Snickers last time I brought Snickers and would have gone to another store to buy it Brought Snickers but would have accepted any other brand Bought Snickers last time but specified particular brand as substitute I brought another brand and did not named Snickers as substitute I brought another brand last time and would have gone to another store to buy that brand Rate the following * 1 being highly not satisfactory to 5 being highly satisfactory 1 2 3 4 5
  83. 83. 71 1 2 3 4 5 I would recommend Snickers to others I grew up with Snickers I consider myself loyal to Snickers I would pay premium price for Snickers I can relate myself with people who prefer Snickers I really like to talk about I consider myself loyal to Snickers *  Yes  No I would really miss Snickers if it goes away?  Yes  No I have seen the following promotion of Snickers *  Direct Theater Advertising (Advertising seen In the beginning of the Movies)
  84. 84. 72  Inshop branding (branding in shops)  Radio activation (Hungry hour Program in FM)  TVC (In televisions)  None
  85. 85. 73 APPENDIX 7: QUESTIONNAIRE FOR RETAILERS (INTERVIEW) 1. Which brands of chocolates are available at your outlet? 2. Which brand provides you the most incentive? 3. Does Snicker do any kind of push marketing? 4. Have you seen any type of marketing done by Snickers 5. If yes what was that (TVC, Inshop branding, DTA or Radio activatyion)……………… 6. Which chocolate do most of the consumers ask when they enter the outlet? 7. How often do consumers ask for Snickers  Many times a day  One time a day  Once in every two days  Once a week  Very few 8. How much do Dairymilk sell a day…………………. Kitkat Sell a day……………………….. Snickers sell a day……………………..
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